HR Power:

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HR Power How HR professionals do manage the
dominant coalition in their organisation
Prof. dr. Dirk Buyens Vlerick Leuven Gent
Management School 17 October 2002 HR
conference Athens University of Economics and
Business
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Where are we in 2002?

• The economic metaphor has been ruling the world
  
• for the past decades, but at what price?
• Speed had changed the speed of change
• C.E.O.s did enter the world of heroes, but
  heroes can fall
• Economic decline makes HR suffering

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Methodology

• Qualitative research design
• Combining in-depth interviews and focus groups
• (delphi technique)
• Sample 20 C.E.O.s
• 50 HR directors

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3 Research questions
1. Are organisations managed by dominant
coalitions? 2. What happens to dominant
coalitions when top management comes under
pressure? 3. How do HR-professionals influence
the dominant coalition?
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Politics and the very nature of organisations

• Myth n1 managers act very rational
• Politics are an essential element in the process
  
• of getting things organised
• Not so much having power but having
  influence
• is the key question
• Management versus manipulation

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Ingredients of the organisational political
process

• Complex and dynamic environments
• The survival of the fittest political
  adaptation
• Flat organisational structures
• The top has come nearer
• The need of corporate unity as raison d être
  
• for the organisation - (HRM Ethos)

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The dominant coalition defined
The dominant coalition That group of people
that compared to their peers, has a much larger
impact on the organisation

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Characteristics of the dominant coalition
1. No fixed number of people that secretly meets
in the organisation 2. Partly
functionally-defined --gt Engineering
company, Marketing sales company, ... 3. Partly
personality/performance-linked 4. Nobody knows
the whole gang 5. Continuously in process

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C.E.O.s and dominant coalitions
1. The C.E.O. is always part of the dominant
coalition, but... 2. C.E.O.s not always lead the
dominant coalition 3. The paradox of the right
strategy 4. Succession of the C.E.O. often
leads to changes in dominant coalitions 5.
Dominant coalitions belong often to the blind
spots of the C.E.O.
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Self management and the dominant coalition

• Key question
• --gt How important is it for me to be part of
  the
• dominant coalition and what am I
  willing
• to pay for it?
• People are often not aware that they are part of
  it
• You do not have it 100 under control
• It assumes political sensitivity

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Survival law n1

Survival law n1 The best way to assure
that you become part of the dominant coalition,
is making sure that your boss is on it
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Organisations and the degree of political actions

• Every organisations has its political limits
• (high tolerance - low tolerance)
• Each individual has his political style
• (Kathleen Reardon, 2001 The secret
  handshake)
• - The purist I dont like to play that game
• - The team player You get ahead by working
  well with others
• - The street fighter Eat or be eaten
• - The maneuverer I set fires and put them
  out, so I
• became a hero
• Fit between the individual and the organisation

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Careers and the dominant coalition

• Dominant coalitions make and break careers
• Some are sensitive, others do not know what
• we talk about
• Some are professional dominant
  coalition-sitters
• Some love to play the game, some hate it

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HR professionals and the dominant coalition

• Must HR be part of the dominant coalition?
• Changes in C.E.O. often lead to changes in HR
  Director
• HR as crown prince or court jester?
• Does HR have the responsibility to make the
• C.E.O. aware?

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If you dont stand for something, you will fall
for anything...
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There is only one thing in life that matters,
but you got to find out for yourself ...
City Slickers